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Brakke Consulting’s
Animal Health News & Notes for February 21, 2020
Copyright © Brakke Consulting
Editor: Lynn Fondon DVM MBA
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IN THE NEWS:
Brakke Consulting News
AnimalHealthJobs.com
Earnings News
Elanco
Fressnapf Group
ImmuCell
Trupanion
Other News
AB Vista
Adisseo
Animal Health International
American Nutrition Inc.
Antech Diagnostics
Bionet America
Calysta
Cargill
C.J. Foods
Diamond V
Elanco
Empire Packing Co.
JBS USA
knoell group
Manna Pro Products
Merck
Nestle Purina
Patterson Companies
Phibro
Promika LLC Pet Brands
Rarebreed Veterinary Partners
Triveritas
Vetio
VetStream
Video With My Vet Ltd
Zoetis
Zomedica Pharmaceuticals
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YOUR VIEW
Thanks to everyone that responded to our poll last week. The question was, “Have you eaten an Impossible Whopper or other plant-based meat entrée in the last year?” A surprising 41% of the respondents answered “yes.” We’ll keep watching the plant-based meat trends, especially our Senior Consultant Cary Christensen, who recently presented our view on this topic in our 2020 Industry Overview at VMX and WVC.
This Week’s Question:
We want to hear from you – share your opinions with us in this one-question poll by clicking below!
In our 2020 Industry Overview, we estimated that companies in the animal health industry grew revenues 4.2% in 2019 over 2018.
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Animal Agriculture Alliance
2020 Stakeholders Summit
May 7 – 8 | Arlington, VA
Attend the 2020 Stakeholders Summit and you’ll be primed and prepared to build bridges from farm to fork.
We all have a vested interest in the future of animal agriculture—from farmers and ranchers to veterinarians and animal scientists to restaurant, retail and foodservice executives and every link of the food chain in between. The Animal Agriculture Alliance’s 2020 Stakeholders Summit will provide an opportunity to come together, learn from each other and develop the proper tools for engaging in conversations about hot issues and securing our livelihoods. Sessions will cover sustainability, animal welfare, influencer engagement, preparing for animal rights activist campaigns and other hot topics.
For more details and to register, click here. Early registration discounts are available through April 3.
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COMPANY EARNINGS RELEASES
- Elanco Animal Health Incorporated reported its financial results for the full year of 2019. Total revenue was $3.071 billion, flat with the previous year. Net income was $67.9 million compared to net income of $86.5 million in 2018. (company press release)
- ImmuCell Corporation announced unaudited financial results for the year ended December 31, 2019. Total product sales were $13.7 million, a year-over-year increase of 25%. Net loss was $(1.3) million, compared to net loss of $(2.3) million in 2018. The 2018 loss included a non-cash expense of $563,000 as a reserve against deferred tax assets. (company press release)
- Trupanion, Inc. announced financial results for the year ended December 31, 2019. Total revenue was $383.9 million, an increase of 26% compared to 2018. Total enrolled pets was 646,728 at December 31, 2019, an increase of 24% over 2018. Net loss was $(1.8) million compared to a net loss of $(0.9) million in 2018. (company press release)
- Fressnapf Group reported results for the 2019 financial year. Total turnover was EUR 2.3 billion ($2.5 billion), an increase of 10% year-over-year. (Globalpets)
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ANIMALHEALTHJOBS.COM
The best place on the web to find qualified job applicants!
AnimalHealthJobs.com is an exceptionally capable partner for your recruiting efforts in the animal health and pet markets.
AnimalHealthJobs.com has grown to include over 30,000 pre-qualified job seekers, and consistently maintains a high degree of talent: two-thirds of our registered users have a Bachelor’s degree, and 20% have some kind of advanced degree; one-quarter have over 10 years of industry experience.
When you are seeking the best, come to AnimalHealthJobs.com – first.
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COMPANY NEWS RELEASES
- Elanco announced it signed an agreement with Merck Animal Health to divest worldwide rights for Vecoxan, used for prevention and treatment of coccidiosis in calves and lambs, for $55 million in an all-cash deal. Divesting the rights to Vecoxan brings divestitures to date into the $120 – $140 million revenue range Elanco previously stated it expected as part of the Bayer acquisition. In total, these divestitures have generated approximately $425 million in pre-tax proceeds. (company press release)
- Manna Pro Products announced the acquisition of Promika LLC Pet Brands, a manufacturer of generic flea and tick solutions. Financial terms were not disclosed. (Pet Product News)
- Phibro Animal Health Corporation announced the launch of OmniGen Pro, a nutritional specialty product that includes a combination of all-natural silicates and yeast components to support immune competence and rumen health in dairy cows. (Yahoo finance)
- Nestle Purina announced the upcoming launch of Purina Pro Plan LiveClear, the first and only cat food that reduces the allergens in cat hair and dander. The Pro Plan LiveClear diet is formulated using a key protein that contains an anti Fel d 1 antibody. When fed to cats, it reduces the levels of active Fel d 1 in a cat’s saliva that is transferred onto hair and dander during grooming. The diet will be available in April 2020. (company press release)
- J. Foods Inc. announced an agreement to acquire American Nutrition Inc., a leading supplier of super-premium dry, canned and baked pet food products and treats. According to CJ Foods, this transaction creates the largest independent manufacturer of super-premium pet food in the US, producing a total of 1 billion pounds of pet food annually. Financial terms were not disclosed. (Feedstuffs)
- Animal Health International (AHI) pled guilty to introducing a misbranded drug into interstate commerce, agreeing to pay $1 million to the Virginia Department of Health Professions (DHP), a $5 million fine, and forfeit an additional $46.8 million. Court documents state that, between 2012 and 2018, AHI distributed prescription veterinary drugs from its wholesale locations to unlicensed individuals. Additionally, AHI’s corporate parent, Patterson Companies, entered into a non-prosecution agreement in which it committed to enhance its compliance program and fully comply with the law. (Veterinary Practice News)
- Antech Diagnostics announced the launch of Antech SDMA, a renal biomarker for symmetric dimethylarginine (SDMA) used for the early diagnosis and monitoring of chronic kidney disease (CKD) in cats and dogs. (Animal Pharm)
- Zomedica Pharmaceuticals announced that it has entered into a definitive agreement with institutional investors for the issuance and sale in a registered direct offering of 20,833,334 of its common shares at a purchase price of $0.12 per share, for gross proceeds of $2.5 million, on or about February 14, 2020. In addition, in a concurrent private placement, Zomedica will issue to the investors warrants to purchase up to 20,833,334 common shares, which represent 100% of the number of common shares issued in the registered direct offering, with an exercise price $0.20 per share and a five-year exercise period commencing six months of the issuance date. (Biospace.com)
- Rarebreed Veterinary Partners announced it raised roughly $40 million in two rounds of equity financing in 2019 and 2020. Launched in 2018, the company provides staffing, operational help and technology for veterinary practices and hospitals after acquiring a controlling share of the hospital. Rarebreed currently has 10 practices in New England. (BangorDailyNews.com)
- Video With My Vet Ltd announced the launch of its telemedicine app which enables practices to provide video consultations with their clients. The service will be marketed by VetStream. (company press release)
- Cargill announced the expansion of the Diamond V animal nutrition production facility in Cedar Rapids, Iowa. The $29 million expansion adds 100,000 square feet to the company’s southern facility and has the capacity to nearly double the total production abilities in the future. (Feednavigator.com)
- AB Vista announced the launch of Signis, a fiber-degrading microbiome that increases nutrient digestibility. The company describes the product as the world’s first stimbiotic – products that have the ability to stimulate the development of a fiber-fermentable microbiome. (Feedstuffs)
- Bionet America, Inc. announced the launch of the BMVet PRO Series of veterinary-specific multiparameter monitors. (Benzinga.com)
- JBS S.A. announced that its indirect subsidiary, JBS USA, has entered into an equity purchase agreement with Empire Packing Co. to acquire the company’s five case-ready production facilities and Ledbetter branded retail products for $238 million. (Feedstuffs)
- EU Zoetis announced the availability of Simparica Trio (sarolaner, moxidectin, pyrantel) chewable antiparasiticide in major markets in Europe. (Animal Pharm)
- UK Germany’s knoell group announced it has acquired UK veterinary contract research organization (CRO) Triveritas. Financial terms were not disclosed. knoell group previously acquired UK CRO Cyton Biosciences in 2010. (Animal Pharm)
- ASIA Adisseo and Calysta announced a partnership to commercialize FeedKind, is a highly-digestible and sustainable protein feed ingredient produced by naturally fermented gas, in the Asian aquaculture market. (Animal Pharm)
- CANADA Vetio announced it has been issued a cannabis research license by Health Canada under the Cannabis Act and Cannabis Regulations. (company press release
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ANIMAL HEALTH STOCK PRICE TRACKER
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ANIMAL HEALTH NEWS
- GERMANY – AVIAN INFLUENZA German authorities confirmed a case of highly pathogenic H5N8 avian flu on a backyard poultry farm in the Baden-Wurttemberg region, 100km from the French border. Since resurfacing at the end of last year, H5N8 outbreaks have now been reported in seven European countries – Poland, Germany, Ukraine, Romania, Slovakia, Hungary and Czech Republic. (Animal Pharm)
- UK – ASF RESEARCH The Pirbright Institute and University College London (UCL) have collaborated to map the entire African Swine Fever (ASF) virus genome. The research was published in the Journal of Virology. (Animal Pharm)
- US – COMPOUNDING DRAFT GUIDANCE In response to requests to extend the comment period for the revised draft guidance, “Compounding Animal Drugs from Bulk Drug Substances,” the FDA plans to provide an additional 120 days for the public to submit comments. The initial comment period is scheduled to end on February 18, 2020, but FDA will be reopening the comment period with a new deadline of June 17, 2020. For more information, click here. (FDA)
- US – FDA ACTIONS The FDA’s Center for Veterinary Medicine withdrew 27 Compliance Policy Guides (CPGs) pertaining to a variety of animal food and drug-related issues. The CPGs were withdrawn, in most cases, because they were obsolete (in conflict with, or not reflective of FDA’s current thinking) or replaced by more recent agency policies. For more information, click here. (FDA)
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Western Veterinary Conference
February 16 – 19, 2020
Las Vegas
The Western Veterinary conference had record-breaking attendance this week in Las Vegas. In addition to the over 1,000 CE hours and 500 Exhibitors in the show’s Exhibit Hall, WVC announced it is rebranding to become Viticus Group.
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BRAKKE CONSULTING VIEWPOINT
Bob Jones
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